TORONTO (Reuters) - The Toronto Stock Exchange's main index overcame earlier losses to push strongly higher yesterday, propelled by climbing resources and hopes that the end to writedowns related to sub-prime mortgages is in sight.

Credit rating agency Standard & Poor's said that such writedowns from large financial institutions was likely past the halfway point, helping investors shake worries that had dragged the index lower in the morning.

Fresh record highs from key commodities gold and oil added momentum to the benchmark, sending the energy and materials sectors up 1.8 percent and 2.7 percent respectively. The sub-index of gold producers surged 3.4 percent after US gold futures mounted $1,000 an ounce.

Barrick Gold jumped C$2.04, or 4.1 percent, to C$52.19, while Agnico-Eagle Mines ran up C$3.82, or 5.3 percent, at C$76.53. In the oil patch, Suncor Energy rose C$1.93, or 1.8 percent, to C$107.06 and Canadian Natural Resources added C$1.72, or 2.4 percent, to C$73.86.

"I think investors are taking some comfort from the statement from Standard & Poor's saying that the end is in sight for the sub-prime writedowns," said Elvis Picardo, investment strategist at Northern Securities Inc., in Vancouver. "Frankly, the single biggest factor that has been weighing down the markets...has been this continuing stream of bad news out of the US housing sector and associated securities," said Mr. Picardo.

The S&P/TSX composite index closed up 146.15 points, or 1.1 percent, at 13,443.5 with all but three of its 10 main sectors on the upside.

The index popped into positive territory in the afternoon after the report from S&P helped lessen concerns over the continuing impact from tight credit markets.

On the downside, the financial sector dipped 0.2 percent, with Toronto-Dominion Bank down 26 Canadian cents, or 0.4 percent, at C$63.38 and Canadian Imperial Bank of Commerce off 30 Canadian cents, or 0.5 percent, to C$61.56.

Elsewhere, shares of Transcontinental Inc climbed C$2.35, or 15.4 percent, to C$17.62 amid higher first-quarter profits for the commercial printer as revenue rose despite the strong Canadian dollar.